Tesco launches new Brand Guarantee, vows customers will never pay more for their branded shop
- Research reveals UK shoppers could be missing out on hundreds of millions of pounds in annual savings
Tesco has today become the first UK supermarket to offer an immediate price match at tills, guaranteeing to customers they will never pay more for their branded shop compared with other leading supermarkets. Tesco’s Brand Guarantee, which removes the hassle and inconvenience of price match vouchers, is a direct result of feedback as Tesco seeks to make the shopping trip easier for customers.
The new Brand Guarantee compares the overall cost of a customer’s branded grocery shop against what it would have cost at Asda, Morrisons and Sainsbury’s. If the shop would have been cheaper elsewhere, customers will automatically get the difference deducted off their bill immediately, both in store and online*. Crucially, the scheme will also price match against promotions at Tesco’s main competitors.
The move by Tesco comes as new research revealed the extent to which price match vouchers – offered by some of the UK’s supermarkets – were failing to meet customers’ needs, with UK customers potentially missing out on hundreds of millions of pounds in savings each year.
According to the research, which explored the views of shoppers from across the supermarket spectrum, over a third (35%) of Britain’s supermarket shoppers have never used a price matching scheme in-store, rising to a staggering 80% online.
The research also showed:
- Almost half (48%) of supermarket shoppers cited the main reason for this as the fact they forget to use the vouchers
- While 16% of shoppers said they lose vouchers before they can claim their savings
Brand Guarantee is the latest step in Tesco’s drive to help customers. The retailer has already invested in bringing down the price of leading brands and has introduced simple, more affordable prices on many of the everyday, own label products customers rely on.
Matt Davies, Tesco UK and Ireland CEO said:
“Shoppers tell us price matching vouchers are a pain and don’t really help them. We all know it can be stressful and awkward when you have to rummage through your wallet to find a price match voucher.
“That’s why we’re ensuring that with Brand Guarantee customers will never lose out on their branded shop by getting money off their bill at the till.
“We’re working hard to make the shopping trip that little bit easier for customers, with simple, affordable prices you can trust. Brand Guarantee is one more way we are taking the hassle out of a trip to the supermarket or an online shop.”
The initiative has already been trialled in Northern Ireland over the last few weeks, with overwhelmingly positive feedback from both colleagues and customers.
Sarah Willingham, Personal Finance expert said:
“Price matching has become far too complicated for shoppers. What they want is simplicity. We’ve all been there – you rush out of the house to do your shopping, you’re trying to remember your bags, your list, find your car keys. You get to the supermarket checkout only to realise you’ve left your voucher on the kitchen table. Worse still, you find a voucher in your wallet only to find it has expired and you’ve lost out. Instant money off at the checkout means no more hassle and a win for shoppers. Anything that adds value to the consumer with no extra effort required is a great thing.”